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(7) The PRA may terminate the HAP contract if the governing penalties for late payment of rent by a PHA determines that the contract unit does not tenant; (it) It is the owner's practice to charge provide adequate space in accordance with the such penalties for assisted and unassisted tempts; HQS because of an increase in family size or a and (iii) The owner also charges such penalties change in flintily composition. against the tenant for late payment of family rent (8) If the family breaks up, the PHA may terminate to owner. However, the PHA shall not be the HAP contract, or may continue housing obligated to pay any late payment penalty if HUD assistance payments on behalf of family members determines that late payment by the PHA. is due who remain in the contract unit to factors beyond the PHA's controL Moreover, (9) The PHA. may te®inate the HAP contract if the the PHA shall not be obligated to pay any late payment penalty if housing assistance payments PHA determines that the unit does not meet all by the PHA are delayed or denied as a remedy for requirements of the HQS, or determines that the r owner breach the HAP contract including any owner has otherwise breached the HAP contract of the following PHA remedies: : recovery of 5. Provision and Payment for Utilities and Appliances overpayments, suspension of housing assistance a The lease must specify what utilities •are to be provided payments, abatement or reduction of housing or paid by the owner or the tenant assistance payments, termination of housing b. The lease must specify what appliances are to be pro- assistance payments and termination of the vided or paid by the owner or the tenant contract). C. Part A of the HAP contract specifies what utilities and (4) Housing assistance payments shall only be paid appliances are to be provided or paid by the owner or to the owner while the family is residing in the the tenant The lease shall be consistent with the HAP contract unit during the tam of the HAP contract contract The PRA shall not pay a housing assistance payment to the owner for any month after the 6. Rent to Owner. Reasonable Rent month when the family moves out a During the HAP contract term, the teat to owner may at b. Owner compliance with HAP contract. Unless the owner complied with provisions of the HAP no time exceed the reasonable rent for the contract unit contract, the owner does not have a right to receive as most recently determined or redetermined by the housing assistance payments under the HAP contact PHA in accordance with HUD requirements. c. Amount of PHA payment to owner b. The PHA must determine whether the rent to owner is (1) The amount of the monthly PHA housing reasonable in comparison to rent for other comparable assistance payment to the owner shall l be unassisted units. To make this determination, the PHA determined by the PHA in accordance with HUD must consider reg�+trt�+eats for a tenancy under the voucher (1) The location, quality, size, unit type, and age of the contract unit; and program. (2) The amount of the P HA housing assistance (2) Any amenities, housing services, maintenance payment is subject to change during the HAP and utilities provided and paid by the owner. connect term is accordance with HUD C. The PHA must redetermine the reasonable rent when requirements. The PHA must notify the family required in accordance with HUD requirements. The and the owner of any changes in the amount of PRA may redetermine the reasonable rent at any time. the housing assistance payment I During the HAP contract term, the rent to owner may (3) The housing assistance payment for the Ent not exceed rent charged by the owner for comparable month of the HAP contract term shall be pro- unassisted units in the premises. The owner must give rated fir a partial month. the PHA any information requested by the PHA on rents charged by the owner for other units in the d. Application of payment The monthly housing premises or elsewhere. assistance payment shall be credited against the monthly rent to owner for the contract unit 7. PHA Payment to Owner e. Limit ofPHA responsibility. (1) The PHA is only responsible for making housing a when paid assistance payments to the owner in accordance (1) During the term of the HAP contract, the PHA with the HAP contract and HUD requirements for must make monthly housing assistance payments a tenancy under the voucher program, to the owner on behalf of the family at the (2) The PHA shall not pay any portion pf the rent to beginning of each month owner in excess of the housing assistance (2) The PHA must pay housing assistance payments payment The PRA shall not pay any other claim promptly when due to fire owner. by the owner against the family. (3) If housing assistance payments are not paid f Overpayment to owner. If the PHA determines that promptly when due after the first two calendar the owner is not entitled to the housing assistance months of the HAP contract term, the PHA shall payment many part of it the PHA, in addition to other pay the owner penalties if all of the following remedies, may deduct the amount of the overpayment circumstances apply: (i) Such penalties are in from my mounts due the owner (including amounts accordance with generally accepted practices and due under any other Section 8 assistance contract). law, as applicable in the local housing market, 8. Owner Certification form HUD -62641 (a20%) Previous editions are obsolete Page 5 of 12 ref Handbook 7420.8